Basic Energy Services, Inc. (BAS) (“Basic”) today reported selected operating data for the month of November 2015. Basic’s well servicing rig count remained unchanged at 421. Well servicing rig hours for the month were 37,600 producing a rig utilization rate of 39%, compared to 44% and 67% in October 2015 and November 2014, respectively.
During the month, Basic’s fluid service truck count declined by five to 1,001. Fluid service truck hours for the month were 182,800, compared to 197,200 and 210,400 in October 2015 and November 2014, respectively.
Drilling rig days for the month were 59 producing a rig utilization of 16%, compared to 13% and 83% in October 2015 and November 2014, respectively.
Roe Patterson, Basic’s President and Chief Executive Officer, commented, “As expected, November activity was significantly impacted by the Thanksgiving holiday period. In addition, wet weather in the last week of the month hindered operations in a large part of our geographic footprint. The performance of our fluid services operations was consistent with the last several months. Well servicing operations lost approximately 500 basis points of utilization in November due to seasonal factors. Well servicing and fluid services utilization post the Thanksgiving holiday period bounced back to levels equal to, or in some cases slightly higher, than prior to the holiday period. Stimulation services activity was impacted during the month by the typical seasonal factors as well as lower levels of completion activity.
“We continue to implement our well-developed strategy to deal with the current operating environment, including scaling operations and capital expenditures to fit cash flow and preserve our liquidity. We continue to stack underutilized assets while simultaneously high-grading our current marketed fleet across our footprint and in all lines of business. We have exited markets where margins have fallen below levels that justify current sustaining capital expenditures. While we expect a slower than usual holiday period in late December, we do not currently anticipate any change to our previously announced guidance of fourth quarter revenues being 13-15% lower sequentially.”
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OPERATING DATA |
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Month ended |
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November 30, |
October 31, |
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2015 |
2014 |
2015 |
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Number of weekdays in period |
21 |
20 |
22 |
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Number of well servicing rigs: 1 |
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Weighted average for period |
421 |
421 |
421 |
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End of period |
421 |
421 |
421 |
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Rig hours (000s) |
37.6 |
62.3 |
44.4 |
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Rig utilization rate 2 |
39% |
67% |
44% |
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Number of fluid service trucks: 1 |
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Weighted average for period |
1,004 |
1,041 |
1,010 |
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End of period |
1,001 |
1,042 |
1,006 |
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Truck Hours (000s) |
182.8 |
210.4 |
197.2 |
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Number of drilling rigs: 1 |
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Weighted average for period |
12 |
12 |
12 |
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End of period |
12 |
12 |
12 |
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Drilling rig days |
59 |
298 |
50 |
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Drilling rig utilization |
16% |
83% |
13% |
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(1) |
Includes all rigs and trucks owned during periods presented and excludes rigs and trucks held for sale. |
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(2) |
Rig utilization rate based on the weighted average number of rigs owned during the periods being reported, a 55-hour work week per rig and the number of weekdays in the periods being presented. |
Basic Energy Services provides well site services essential to maintaining production from the oil and gas wells within its operating area. The company employs more than 4,000 employees in more than 100 service points throughout the major oil and gas producing regions in Texas, Louisiana, Oklahoma, New Mexico, Arkansas, Kansas, and the Rocky Mountain and Appalachian regions.
Additional information on Basic Energy Services is available on the Company’s website athttp://www.basicenergyservices.com.
